Daily Archives: May 11, 2009, 12:53 pm

HealthSouth Seeks to Recover More than $100 Million from Founder Richard Scrushy

In Birmingham, Alabama, a civil trial began today against HealthSouth Corp. founder Richard Scrushy.  In the case brought by shareholders suing on behalf of HealthSouth, plaintiffs allege that Scrushy owes the company more than $100 million for profiting on insider trading and misusing assets such as the corporate jet, the Birmingham News reports. “He was the driver of the vehicle…

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Court Dismisses “Legally Baseless Strike Suit” Against Biovail Corp.

On May 8, 2009, the United States District Court for the SDNY dismissed with prejudice the securities class action against Biovail Corp. and several of its officers and directors.  The complaint related to statements alleged to have been made by the company regarding its drug Aplenzin during the product’s U.S. regulatory approval process. U.S. Judge Colleen McMahon ruled that the…

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Help Wanted at the SEC: “Managing Executive of the Division of Enforcement”

The SEC has posted a job opening for what appears to be a newly-created, high-level administrative position in the Enforcement Division with the title of “Managing Executive of the Division of Enforcement.”  The responsibilities for the position, which are laid out in detail here, include overall management of the Division’s strategic planning, information technology, [and] financial management including budget formulation…

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UK: FSA Sends Entire Department Home, in Quarantine, After Possible Swine Flu Exposure

As revealed by a recent GAO report, the SEC has had its share of challenges as it attempts to bolster enforcement of the securities markets: inadequate IT resources, no knowledge management system in place, little support staff, confounding reporting structures, bureaucratic internal review processes, and so on. But, hey, look on the bright side!  At least it doesn’t have an…

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